Macau continues Dominance with Record $45 Billion in 2013
Macau’s tremendous growth certainly doesn’t look to level off soon. In fact, the former Portuguese colony had another record-breaking year in 2013 after generating US$45 billion ($380 billion patacas) in gaming revenue.
The $45 billion is up 18.6% from the previous year. One thing that really helped the casino hub was a very strong month of December. Macau’s 33 casinos combined for $4.19 billion last month, which is up 18.5% from December of 2012. This growth percentage is even more impressive when you consider that gaming analysts only predicted 13-17% growth.
As for 2014, analysts are once again tempering their exceptions for Macau’s success. There’s expected to be a 10-14% growth rate, which is quite low compared to the 18.6% growth that was realized in 2013. However, it’s also worth mentioning that no new casinos are opening this year, which will deprive Macau of any quick revenue boosts. But on the other hand, the lack of casino openings should help existing establishments capitalize on the revenue stream that’s still flowing.
There’s plenty of look forward to for Macau in 2014. Gaming anaylst Grant Govertsen, of the Union Gaming Group, explained why this will be a big year for the casino destination as he stated the following:
It’s going to be another strong year in 2014, while the growth rate is likely to be in mid-teens. In absolute terms, it’s going to be magnificent growth because of the improved rail connection and infrastructure, as well as the addition of the Chimelong theme park on the neighboring Hengqin island.
When comparing Macau to the worldwide gaming market, there really is no comparison. Las Vegas is the next closest competitor. However, they pulled in a little over $6 billion, which is almost six times less than what Macau casinos are producing. For this reason, many Vegas casinos are concentrating on their dining, entertainment and nightclubs, rather than casino gaming.